Harbin Bank s Featured Road to Inclusive Finance



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Harbin Bank s Featured Road to Inclusive Finance Ms. Sun Jiawei, Assitant President of Harbin Bank 2014 August 6th

Sun Jiawei, is the assistant president of Harbin Bank, standing director of China Association of Microfinance, standing director of China Association of County Economic Exchange and Promotion, and the expert committee member of the credit rating of SMEs in Heilongjiang province. Mrs. Sun successively held the posts of the president of Dongli Sun-branch, general manager of Personal Banking Department, Corporate Banking Department, Small Enterprise Banking Department, Microcredit R&D Department and Rural Banking Department in Harbin Bank. Mrs. Sun was awarded the title "Worker Model in Harbin" by Harbin city government in 2010, the title "Financial Innovation Leader" by Harbin city government in 2011, and won the prize of national advanced individual serving the development of SMEs in 2010, China Microfinance Leader in 2012 and 51 labor medal of Heilongjiang Province in 2013. 2

A Brief Introduction to Harbin Bank Harbin Bank s Small Lending Business Realized Professional and Integrated Development Harbin Bank s Small Lending Know-how and Technology Exportation Assists the Development of Inclusive Finance Harbin Bank has initially launched Banking Small Lending Industry Benchmark Research. 3

I A Brief Introduction to Harbin Bank Harbin Bank was founded in July 1997,headquartered in Harbin. Harbin Bank has 16 branches in Tianjin, Chongqing, Dalian, Shenyang, Chengdu, Harbin, etc., and 24 Village and Town Banks (VTB) in 14 provinces and autonomous cities such as Beijing, Guangdong, Jiangsu, Jilin and Heilongjiang. Harbin Bank was approved to set up HB Financial Leasing Co.,Ltd and has invested to re-structure Guangdong Huaxing Bank as a strategic investor. Harbin Bank has always persisted in promoting inclusive finance as its own mission and unswervingly upheld the Microfinance Strategy, and holds Inclusive Finance, Harmonious Co- Enrichment as its business philosophy. 4

I A Brief Introduction to Harbin Bank By the end of 2013, Harbin Bank has a total asset of RMB 322.1 billion yuan, total deposits of RMB 224.1 billion yuan, and total loans of RMB 105.9 billion yuan. By the end of 2013, Harbin Bank s small lending balance was RMB 73.1 billion yuan, accounting for 69.1% of the bank s total lending portfolio. Harbin Bank is the only city commercial bank that has been awarded five times by CBRC as the National Advanced Unit For MSMEs Financial Services, and won the international award of China Best Bank For MSMEs Financial Service conferred by the Asian Banker. On March 31st 2014, Harbin Bank successfully listed on the main board market of Hong Kong Stock Exchange (Stock Code: 06138.HK). 5

II Harbin Bank s Small Lending Business Realized Professional and Integrated Development 1. The simultaneous deep plough and developing in the field of small lending to expand the coverage of inclusive finance Harbin Bank s MSMEs lending service has been developed for 8 years since 2006 and the total disbursement was RMB 107.4 billion yuan with more than 1,180 thousand clients and 450 experienced MSMEs financial service professionals. Harbin Bank has formed a complete management system and know-how and technology system and realized client-focused and tailored financial solution service for MSMEs clients. Harbin Bank initiated to establish Harbin Bank Lilac MSMEs Client Union in May 2013 and provides MSMEs clients with one-stop service. 6

II Harbin Bank s Small Lending Business realized Professional and Integrated Development 2. The simultaneous innovation and update of rural finance to provide diversified financial services As the first Chinese city commercial bank to launch rural financial services, the bank has a crossregional network in 14 provinces and autonomous municipalities, covering over 7,300 villages and over 1.6 million customers. 460 experienced rural financial service professional staffs. Constructed over 1000 e-outlets covering 610 villages and achieved a total of 170,000 transactions providing diversified financial servicesto rural customers. 7

II Harbin Bank s Small Lending Business realized Professional and Integrated Development 3. To Vigorous Develop such Challenging Business as Home Credit, Micro Finance, Consumer Finance, Internet Finance, Financial Leasing Harbin Bank closely follows the change in market demand and actively broadens the business extension. We positively open up and explore in such business areas mentioned above and have developed a Chinese inclusive finance business model with Harbin Bank s feature. 8

III Harbin Bank s Small Lending Know-how and Technology Exportation Assists the Development of Inclusive Finance Harbin Bank has successfully developed a set of small lending technologies suited to China s conditions and having our ownintellectual property rights. The first commercial bank in the PRC to export small lending know-how and technology to other banking institutions in China Harbin Bank s small lending know-how and technology exportation service has extended to provinces and cities like Sichuan, Henan, Shandong, Jiangsu, Zhejiang, Beijing and etc. and the customers cover more than 20 financial institutions. By the end of 2013, we have already helped its partners to issue RMB 3.577 billionnew small loans, absorbed RMB 0.12 billiondeposits, with a NPL ratio of 0.03%, established 36 institutions and trained over 360 professionals engaged in small lending. 9

III Harbin Bank s Small Lending Know-how and Technology Exportation Assists the Development of Inclusive Finance 10

IV Banking Small Lending Industry Benchmark Research initiated to launch by Harbin Bank Research Background Composition of Research Group At present, domestic and global small lending banks haven t formed a set of applicable industry benchmarks and related appraisal methodology. To provide a set of applicable industry benchmarks and related appraisal methodology to guide the practices of banks engaged in small lending business. Initiative Party Leading Party Key Players Harbin Bank PBOC Financial Consumer Protection Bureau Finance and Banking Institute of Chinese Academy of Social Sciences (CASS) China Association of Microfinance (CAM) MIX Market Harbin Bank 11

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